Pipeline capacity constraints and escalating methane emission penalties make flaring an unsustainable liability. We help upstream operators and mineral owners structure behind-the-meter generation, modular compute placement, and fuel gas off-take agreements to eliminate penalties and monetize stranded volume.
We work directly with engineering teams, surface owners, and land departments to deploy non-pipeline solutions.
Placement of skid-mounted reciprocating natural gas generators paired with mobile high-density compute pods. Provides immediate off-take for 100 to 2,500 MCFD without pipeline connection.
Field-level Joule-Thomson (JT) plants and mechanical refrigeration units to strip heavy hydrocarbons (Y-grade liquids) before engine combustion or CNG virtual pipeline transport.
High-pressure compression skids and composite tube trailers for stranded dry gas or treated volumes exceeding local electrical generation demand.
Regulatory landman auditing and continuous flare flow metering documentation required for Texas Railroad Commission flaring exceptions and federal greenhouse gas reporting.
Enter your wellhead flow rate, gas heating value, and generator specifications to calculate electrical capacity, monthly power value, and avoided EPA emissions penalties.
| Daily Electrical Output | 28,750 kWh |
| Gross Monthly Power Value | $64,688 |
| Annual Gross Power Value | $776,250 |
| Annual Flared Gas CO2e Avoided | 4,950 MT CO2e |
| Annual EPA Waste Penalty Avoided | $668,250 |
| Total Annual Economic Value Created | $1,444,500 |
Includes complete site parameters, generation curve, 24-month cashflow schedule, and EPA Subpart W compliance schedule.
State and federal regulations have eliminated the practice of routine flaring as an acceptable long-term operating procedure.
16 TAC § 3.32 mandates that all gas produced from oil or gas wells must be utilized without waste. Flaring exceptions require strict administrative justification, pipeline availability proof, and are subject to mandatory hearing contests if contested by mineral owners.
Implemented under the 2022 Inflation Reduction Act, the Waste Emissions Charge imposes financial liabilities starting at $900 per metric ton of methane exceeding reported waste thresholds, increasing to $1,200 and $1,500 per metric ton in subsequent years.
Recent Texas jurisprudence reinforces that operators must account for unavoidable flaring versus avoidable waste. Flaring high-BTU gas when modular power or liquids capture is commercially viable increases exposure to unmarketed gas damage claims.
Under Getty Oil Co. v. Jones, power generation equipment on a drilling pad must be situated to minimize disruption to existing surface uses while preserving operator access to wellheads and production separation equipment.
Provide preliminary wellhead volume and gas analysis. We evaluate generation sizing, engine compatibility, and commercial off-take options within 48 business hours.
Economical behind-the-meter generation typically begins around 100 MCFD (which can support approximately 500 kW of continuous generator capacity). For volumes between 25 and 100 MCFD, microturbines or field-gas CNG compression are generally preferred. Volumes above 500 MCFD can support multi-megawatt compute microgrids.
Natural gas directly from the separator often contains heavy hydrocarbons (propane, butane, pentanes) pushing heating values above 1,300 BTU/scf, causing engine pre-ignition or knocking. We integrate compact Joule-Thomson (JT) conditioning units or fuel coolers to condense and knock out natural gas liquids (NGLs). For sour gas, iron sponge or solid-bed scavenger vessels strip H2S to below 4 PPM before the generator manifold.
In most commercial structures, the operator incurs zero capital expenditure. Generation and compute providers mobilize, install, and operate the skids under a long-term Gas Purchase Agreement (GPA) or Power Purchase Agreement (PPA). The operator either receives a monthly royalty for the gas consumed or shares in compute uptime economics.
Yes. Producing gas into an engine for power generation constitutes a beneficial use of natural gas under Texas Natural Resources Code § 86.181 and RRC Statewide Rule 32. It converts an unmitigated combustion or venting source into a productive, permitted stationary internal combustion engine, satisfying beneficial-use statutory thresholds.
Royalty obligations depend on the specific lease language regarding "used off the premises" or "sold at the well." Standard oil and gas leases permit the operator free use of oil and gas for operations on the leased premises. When gas is sold to a third-party compute or generation operator, royalties are accounted for on the net proceeds or volume value specified in the GPA.